MediaG3 (MDGC)

[nole92]

I have the SEC to back up my statements about MDGC's media credit deal. This a quote from a SEC lawsuit:

During the third quarter of 2009 and the year end 2009, 'XYZ company' materially overstated certain assets in an effort to bolster its balance sheet. Specifically, in its financials 'XYZ company' listed media credits purchased by the company for $1,000,000 in common stock as having a value of $9,997,134, which made the media credits the single largest asset on XYZ's balance sheet.
3. The almost 1,000 % overvaluation of the media credits substantially misrepresented the actual value of XYZ’s assets and, hence, of the company itself.

MDGC's deal was far more outrageous. It was like a 5X this 1000 % overvaluation.

http://www.sec.gov/litigation/complaints/2012/comp22220.pdf